TRANSACT IN THE DIGITAL ECONOMY

Transcription

1 TRANSACT IN THE DIGITAL ECONOMY June 2018

2 Forward-looking statement This document contains certain forward-looking statements with respect to the Company. These forwardlooking statements, by their nature, necessarily involve risks and uncertainties that could cause actual results to differ materially from those contemplated by these forward-looking statements. We consider the assumptions on which these forward-looking statements are based to be reasonable, but caution the reader that these assumptions regarding future events, many of which are beyond our control, may ultimately prove to be incorrect since they are subject to risks and uncertainties that affect us. We disclaim any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable securities legislation. All amounts are in Canadian dollars. These assumptions include, without limitation: + No significant change in the current value of CAD$ vs. US$ + No significant increase or decrease in revenues and operating expenses + Stable market conditions 2

3 Our mission 3

4 Company Overview 1996 Created in 1996, Public since 2000, MDF.TO Longueuil, Canada Laval, Canada $80.9M $23.4M* FY 2018 Revenue & Adjusted EBITDA* Shenzhen, China *FY 2018 Adjusted EBITDA includes $2.0 M of non recurring costs 520 Employee workforce total $166M Market Capitalisation as at June 12, 2018 Connecting buyers & sellers through various platform Albany, New York $0.10 Quarterly dividend per share Atlanta, Georgia 4

5 Offices Longueuil, Canada Laval, Canada Ottawa, Canada Albany, New York Shenzhen, China Copenhagen, Danemark, Atlanta, Georgia 5

6 Long Term Value Creation In M of canadian $ Revenue 47,1 53,8 60,7 65,4 70,2 73,0 77,7 80,9 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 Adjusted EBITDA 25,2 24,3 27,5 28,6 28,6 23,4 * 15,1 17,4 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 * Includes $2.0 millions of non recurring costs 6

7 FY-2019 Focus Organic Growth 7

8 Our Solutions STRATEGIC SOURCING UNIFIED COMMERCE MARKETPLACES SOURCING SUPPLY BASE MANAGEMENT SUPPLY CHAIN COLLABORATION DIGITAL COMMERCE CLASSIFIED ADS DIAMONDS & JEWLERY ELECTRONIC COMPONENTS CONTRACT MANAGEMENT AUTOMATIVE AFTERMARKET ONLINE RECRUITING ONLINE DATING

9 Strategic Sourcing: Main Brands Canada 2,000 buyers 70,000 suppliers Presence across Canada USA 1,200 agencies 63,000 suppliers Present in 30 States CAD/USA 40+ clients Cross selling & Integration opportunites Revenue type: 90 % recurring 90 % recurring 82 % recurring. 9

10 Strategic Sourcing Sourcing RFx: Supply Base management Contract management Spend Analysis Creation Management Publication Bid evaluation Award publication Vendor database Vendor qualification Performance Management Vendor certification Repository Alert Contract creation Requisitions mgt Approval workflows Data cleansing Categorization Analytics Notification Dashboard Decision Support 10

11 Strategic Sourcing : Growth Initiatives Increase Buyer Content Implement value added Supplier Services Contract Management Growth 11

12 Supply chain Collaboration Enable trading relationships between retailers & manufacturers Apparel & General Merchandise Unique Combined Offering Private Catalogue Business Network (EDI VAN Tier-1) Automotive 90%+ Recurring revenues (75% US$) 4,000+ Retailers & suppliers Healthcare 12

13 Supply chain - Growth Initiatives Introduce multi-retailer Web EDI solution for small vendors Implement product data compliance and managed services practice to clients Support retailers addressing the challenges of the digital transformation with new value added services Our solutions accelerate time-to-market, with richer and more standardized product data, that retailers can quickly promote on any sales channel, especially online. 13

14 Digital Commerce Cloud-based commerce solutions offering mid-size, enterprise Retailers and Brands a Single Platform to drive unified customer experiences online and instore. Flexible, open and globally available solution on Microsoft Azure. 14

15 Main Product Offering Digital Commerce Omnichannel Ordering & Fulfillment Buy anywhere, Fulfill anywhere Content Management Combining Content & Commerce

16 Addressable Market Size $4.87B (2018) Digital Commerce Platform Revenue Forecast (Millions of U.S. Dollars) * Source: Forecast: Enterprise Software Markets, Worldwide, , 2Q16 Update Gartner , CANADA US EUROPE 16

17 Orckestra: Go-To-Market Strategy REGIONS North America Europe ENTERPRISE Mid to Large INDUSTRY Retail Branded Manufacturer 17

18 Retail & Brand Manufacturing enabling top brands 18

19 MarketPlaces B2C PRESENT IN KEY LIFE EVENTS & MOMENTS + LesPAC: Buy & sell + Jobboom: Find a job & manage your career + Réseau Contact: Find love & build relationships 19

20 Growth Strategy Increase platform content Freemium model (launched on March 1st, 2017) Monetize added content New visibility tools Focus on SMB that wants to sell online 20

21 Growth Strategy Update Freemium model after year one Successful transition to freemium model Content increased 176% to date Increased number of publishers on the site New visibility tools and recurring offer to SMB s performing well 21

22 MarketPlaces B2C Evolution of the business platform to: Improve recruitment process of the employer Provide additional tools for the job seeker 22

23 Growth Strategy Update Put in place assisted recruitment for employer Introduced recurring package for clients Content increasing 78% year over year Stable number of clients on the platform 23

24 Financial Highlights Fourth Quarter FY-2018 ended March 31,

25 Q4 FY-2018 Highlights Revenues of $20.5M + 2,4% Adjusted EBITDA of $5.6 M 27% margin (including $0.2 M of non-recurring expenses) Cash flow from operations of $7.1M Profit of $2.1 M $0.14 share 25

26 Quarterly Results In M of canadian $ 20,0 20,0 20,0 20,5 20,5 32% 31% 28% 30% 27% 6,4 6,1 5,5 6,1 5,6 Q4-FY17 Q1-FY18 Q2-FY18 Q3-FY18 Q4-FY18 Revenue Adjusted EBITDA Adjusted EBITDA margin * Q4-FY18 adjusted EBITDA includes non-recurring expenses of $0.2 million. 26

27 Financial Position Healthy balance sheet Strong adjusted EBITDA margin High cash flow from operations Net debt / adjusted 0.6X* Liquidity of $65M + accordion feature of $40M* *LTM Adjusted EBITDA, net debt as at March 31, 2018 & accordion feature subject to lenders approval 27

28 M&A Guidelines North American location Ethical and diversified business sectors Strong business models High profitability Recurring Transactional revenues Sustainable competitive advantage Web technology Acquisition target Companies between $5M - $25M in annual revenues Aligned to take advantage of our resources (Technical, Financial, HR) 28

29 Ownership million shares outstanding* + Alignment of interests Directors & Officers owns 28% of all shares o/s Claude Roy, President & CEO, currently holding 24% 29

30 Board of Directors Claude Roy Chairman and CEO Philippe Duval Director of Corporations André Gauthier President André Gauthier Holding Inc. Gilles Laporte Director of Corporations Management Team Claude Roy President and Chief Executive Officer Paul Bourque Chief Financial Officer Hélène Hallak Vice President and General Counsel André Leblanc Vice President, Marketing Gilles Laurin Director of Corporations Catherine Roy President, Gestion Catsachar Inc. Jean-François Sabourin President and CEO FinlogiK Inc. & JitneyTrade Inc. Natalie Larivière President, Yuma Strategies Viviane Trudel Founder & President of Metix Inc., Metix Capital Inc. and B-CITI Solutions Inc Mark Eigenbauer Vice President, US Operations Jean-Michel Stam Vice President, Canadian Operations Suzanne Moquin Vice President, Consumers Solutions Camil Rousseau Vice President, Research & Development Stéphane Anglaret Vice President, Technology 30

31 MEDIAGRIF INTERACTIVE TECHNOLOGIES INC St-Charles Street West, Suite 255 Longueuil, Québec Canada J4K 5G4 Toll Free: Phone: Fax: